Can directors receive compensation?
A Nonprofit directors normally serve without compensation. While state nonprofit statutes generally allow directors to be paid provided the payment is reasonable and related to the actual performance of services, most non profits limit themselves to reimbursing directors for any necessary expenses incurred in performing director duties (such as travel expenses-typically a gas or mileage allowance-to attend board meetings).
Related Questions
- A companys board of directors consists of a majority of independent directors. May the whole board serve as a compensation committee?
- Are a company’s directors or executive officers covered under California workers’ compensation policy?
- How many directors are required to serve on a compensation committee?
